Commerce Planet, Inc. - (OTCBB:CPNE) today announced that the Company has executed a Letter of Intent to acquire the operating assets of Value Direct and retain key employees as members of management for Commerce Planet. This acquisition will be funded from available working capital and is expected to close prior to the end of January 2008.
Value Direct was formed in 2005 and operates as a direct-to-consumer services company, marketing product and pricing information in the real estate housing and the pre-owned automobile markets. The Company’s member acquisition system offers a one-time or recurring monthly fee for consumer-driven benefits memberships and corporate partner programs. The founding executives of Value Direct have extensive tenure executing similar business models for leading competitors and plan to join the Commerce Planet management, further broadening the depth and experience of its Internet Service Provider team.
“We are pleased to have executed this agreement for acquisition as we move to continue diversifying the online offerings of Commerce Planet,” stated Tony Roth, Chief Executive Officer. “Value Direct achieved revenue in 2007 exceeding $2.3 million and we expect the acquisition to contribute meaningful cash flow and pre-tax profits to Commerce Planet in 2008, as well as effectively grow our operating management force.”
About Commerce Planet, Inc.
Commerce Planet, Inc. is a technology driven online media, marketing, and fully integrated e-commerce provider that offers media products, lead generation services, list database management, e-commerce solutions, web marketing, call center support and CRM tools to its client partners as well as through its own direct selling businesses. Commerce Planet offers turn-key business solutions through Legacy Media, its marketing & media division, and membership sales companies, customer care and call center facility, and it’s newly acquired E-Commerce Dashboard™ System by Iventa. In combination these services address the needs of small – medium size businesses, B2B and B2C marketing programs, and custom solutions for enterprise clients worldwide. For more about Commerce Planet (OTCBB: CPNE), visit our website at http://www.commerceplanet.com.
Forward Looking Statements
Except for the historical information contained herein, the matters set forth in this press release, including statements as to management's intentions, hopes, beliefs, expectations, representations, projections, plans or predictions of the future, are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. This release contains forward-looking statements, including, without limitation, statements concerning our business and possible or assumed future results of operations. Our actual results could differ materially from those anticipated in the forward-looking statements for many reasons including: our ability to continue as a going concern, adverse economic changes affecting markets we serve; competition in our markets and industry segments; our timing and the profitability of entering new markets; greater than expected costs, customer acceptance of our products and services or difficulties related to our integration of the businesses we may acquire; and other risks and uncertainties as may be detailed from time to time in our public announcements and SEC filings. Although we believe the expectations reflected in the forward-looking statements are reasonable, they relate only to events as of the date on which the statements are made, and our future results, levels of activity, performance or achievements may not meet these expectations. We do not intend to update any of the forward-looking statements after the date of this document to conform these statements to actual results or to changes in our expectations, except as required by law